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Forum Problems Investment funds cash level decreasing with new contributions/share profits

Investment funds cash level decreasing with new contributions/share profits

O
Orbiter
29 Sep 2014 00:18 Link
but i can andy, in the countries at the top of this page, that Aries referenced, "Dream Land," is mine,

it holds about 19T worth of corporation stocks, all of which are state corps in 6 of my other countries, in those countries, i can run a high tax to put the corp profits into my countries general fund, or i can run low tax, to put the money into Dream's Investment Fund,

can absolutely effect the pay-in, or at least for the seven years i've played this game, i could.

my current account was started shortly after the cash to gold converstion was taken way, not that long ago, in sim country terms. i deleted my old stuff, and started fresh,

like claude said, i originally raised my salaries to high level, 500, i also had some shuttle corps that i ran with even higher salaries, that accounted for half my pops contributions, when i built up enough funds to invest in my slaves's corps, between raising taxes to keep my countries in the black, then lowering taxes to fatten my investment funds,

i managed to save up over 90T, over 100T including the stock value, thats game cash that could be in my direct trading, at this moment, but i choose to put it into my IFs

i'm behind your new ideas, but you guys have handled this in about the worst way you could!
A
Andy
29 Sep 2014 00:30 Link
"I can run a high tax to put the corp profits into my countries general fund"

The taxes are paid to the country where the corporation resides, not to any fund.

dividends are paid to the share holders if the corporation is public.
the fund does have dividend income.

great.
then what?

can you buy weapons with the money?
or products and put them in stock in the country?
can you restock your corporations by use of this money, or build facilities in the country?

no. none of the above. You can purchase stock in many more corporations.
this is indeed what it is intended for.

but a lot of it has to be paid back to the investors.
this was close to zero and will now be corrected.
O
Orbiter
29 Sep 2014 00:41 Link
<!-Quote-!>Quote:

dividends are paid to the share holders-Andy<!-/Quote-!>



and if the share holder is an investment fund, the profits are payed to it

<!-Quote-!>Quote:

can you buy weapons with the money?
or products and put them in stock in the country?
can you restock your corporations by use of this money, or build facilities in the country? -Andy<!-/Quote-!>



thats the point, this was money that i could have done those things with, but i choose to boost my IFs

i understand where your going with this, i'm behind that, but you've handled this all wrong, prior to this, it would take away profits that you could use for other reasons, and just pile up, now these piles of cash are being removed, with out warning, or even a word about it until 2 weeks in.

as it is, i'm waiting for the first of next month to make adjustments and buy more shares for my IFs, had i known a month ago, that 2 weeks later my funds would disappear, i'd have had the option to do something different, instead, it took 2 weeks for you to even say anything about it, further, you deny that players are able to manipulate these funds, to justify doing anything you want to them, and that just isn't true
O
Orbiter
29 Sep 2014 00:45 Link
and about the tax, yes, the tax goes into the country, not the share holders, but the profit after tax goes to the share holders, so if my IFs are the share holders, i can adjust my tax to direct the same corp profits to the country general fund, or to my IFs
O
Orbiter
29 Sep 2014 10:25 Link
in addition to this overall change, i'd ask that you consider an adjustment to the PE ratio

as it is, if the pop will be payed the dividends, then the IFs should target corps that pay out, as it is, they go for PE rates that are good, based on net profit, how ever, net profit is higher when dividends are not payed, giving corps that don't pay out a better PE, and higher market value

for our home viewers that may not get it. the share price of a corporation, is the market value, divided by the total number of shares, as demand for shares increase, the price goes up, increasing the market value. the auto-buy/sell feature for IFs, mostly targets PE ratios of 40 or lower (better,) meaning corps will float around the 40 PE range, PE is a ratio of the profit to price, if the relative profit is higher than the price, you'll have a lower, better PE. investors will buy in, the price will increase, raising (worsening,) the PE ratio, until it gets high enough to sour investors

if net profit is high, it will mean the IFs will buy at a higher price, but profit sharing is subtracted from net price, meaning corps that pay out dividends, will sell at a lower price, while the IFs care nothing about the pay out, only the PE

with these planned changes, IFs should focus more on corps that pay out dividends, rather than hold the money to inflate the value
R
Rage Fury
29 Sep 2014 22:14 Link
Orbiter, correct me if I am wrong, but don't all Public Corporations pay out a dividend if they exceed about 200 billion SC$?
O
Orbiter
30 Sep 2014 22:11 Link
not sure, i've never been patient enough to wait, and pay close enough attention to who actually gets the money
A
Andy
01 Oct 2014 17:14 Link
Profit transfer is a percentage of the profit that goes to the owner.

In a private corporations, there is one share holder. He received the part of the profit.

In a public corporation, that percentage that is specified under shared profit, is paid to the share holders as a dividend.

depending on the number of shares they have, they receive an amount.
if 50%, the dividend is 50% of the profit.

divide the profit by the number of shares outstanding, multiply by the number of shares you have and you receive 50% of the result.

this is how it is done in the real world.
the company decides on a dividend per share.
here we decide on a percentage of the profit.
divide it by the number of shares and we have the dividend per share.
A
Andy
03 Oct 2014 15:06 Link
After several updates to the investment part, it is now closer to where it should be.

Larger amounts are now paid back to the investors.

More will be don to manage potential shortage of cash, sale of assets to increase cash if needed and the management of the investment funds in C3 countries.

We hope that in time, funds will be able to invest mort in the share market and that we will end up with a large portion of the fund assets invested, instead of sitting in a large pool of cash.